The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1887-09-07
Effect Of the Standard Monopoly On the Penn
sylvsnil Petroleum Fields,
Handsome Residences Going to Ruin and
Owners Living on Small Iuc,mss.
10 Chance for Any Immediate Change for
the Bst!sr in Any Section.
how the Standard Company has Succeeded
in Getting Rich While the Small Fry
Grow POorer-An Unjust War.

FITTsBURe. September Sin a few days
the Pennsylvania oil fields will be virtu
ally idle. The producers are bankrupt and
viii shut off production as a last and des-
perate chance of relief. The regions that
have produced millions upon millions of
dollars worth of petroleum are to-day little
better of than If the golden fluid had never
been discovered SherifFs sales are the
most conspicuous signs everywhere. Splen-
did residences that were built by the lucky
oilseekers in the palmy days before 1885
are the only indications that prosperity
once abided with the oil producer. Even
these are sadly out of repair, and the once
fortunate owner who found the roomy
mansion too small for his swollen wealth
now discovers that he has white elephant
on his hands, and is content TO occupy two
or three rooms of the dwelling, letting out
the remainder TO dodgers. Men who form
erly had an income of $25, 800 and $500 a
day from their wells now get laborer's
wages.
Many of the larger producers are run
Ling their wells at a loss. Hundreds OF
drillers, tool dIessers, bumpers aud rig
carpenters are out of work because almost
no new wells are going down, and those
now in operation are worked in the most
economical manner possible. Wages have
not been 90 low since oil was discovered.
If this depression continues for another
six months those still engaged in the oil
business will quit it, as many hundreds
have already done.
Speculation Is paralyzed. Spectators
have learned by sad experience that, ow-
ing to the excessive storage charges, they
must clear % per cent. on their trades to
come out even. With the operator and
dTilier they are engaging in other pursuits.
The magnificent Western Pennsylvania
II 4
dollar oil are now little attended, and
in the vast emptiness the occasional bid
der is startled at tie sound of his own
voice,
The consumer for years has been paying
to the Standard Oil Company for refined
oil one-thiId more than it would cost il the
production and manufacture of oil fol-
lowed natural laws. The consumer has
really enriched the great oil monopoly
more than the producer, but because the
hand of extortion is laid lightly upon him
individually, he does not feel it. A few
cents week from each consumer makes
millions of dollars for the Standard. With
90 excuse whatever, the Standard in 1876
put up the price of refined oil from is to 80
cents per gallon and in 1880, it raised the
price from to II cents. In both instances
the purchasing price OF the crude oil re-
manned the same. The Standard buys at
its own price ane sells at its own price.
Other commodities are cornered, occasion
ally, but oil is In q chronic state OF
corner"
Should the Standard so desire there is
nothing to prevent its putting the price OF
oil up to so cents a gallon for at least six
months, as it would be that time before
competition could be developed to cut
down the price. 1t rules the home and for
eign trade alike. The Russian companies,
about which 30 much has lately been writ.
ten, will not be serious competitors OF the
even supposing the quality of the oil is
equal to that of the Pennsy lvania product
as the cost of production and transports.
in Russia by present methods is too great
to make the oil business in that country
profitable.